Financial Accounting (FA) Tutorial Letter: October 2013 ... - imm
Page 1 of 4
Financial Accounting (FA) Tutorial Letter: October 2013 examination session Dear Student Please make note of the following changes and key areas pertaining to the Financial Accounting October Examination. You are reminded that the detail provided herein is merely a guideline for clarity and direction and you are encouraged to complete the entirety of the module content as outlined in the Learner Guide. Exam Structure The paper consists of five questions resulting in an exam total of 100 marks. All questions must be attempted. Question 1 consists of a multiple choice question worth 20 marks. Question 2 consists of various short questions worth 15 marks Question 3 consists of a long calculation type question worth 15 marks. Question 4 consists of a long question involving financial statements worth 25 marks. Question 5 involves analysis of financial information worth 25 marks. Exam Content Question 1 is mostly theoretical, being based on the theory components of all study units. In the past many students have neglected the basic theory, principles and concepts identified in study unit 1. There are also basic calculations presented within these questions and you are reminded to take note of the use of a calculator in arriving at percentages, adding up elements etc.
© IMM Graduate School of Marketing October 2013 examination session
FA
Page 2 of 4
Calculation focus: calculations involved in formulating a cash budget, amounts calculated as accrual adjustments for the income statement, depreciation (methods, accumulated depreciation and carrying value), financial ratio’s, balancing for amounts using the accounting equation (A = OE + L), calculation of amounts used in the formulation of the income statement/ extracts and components of the financials etc. The following topics (amongst others) should be mastered in order to be able to attempt the concepts being examined: Preparing a cash budget, formats and disclosure of the income statement and balance sheet (accounting statements), non-current assets (depreciation), calculation and interpretation of financial ratios (financial statement analysis), accrual adjustments, understanding the elements (assets, owners’ equity and liabilities) etc. General Time management per question must be monitored carefully. You are reminded to show ALL your workings and reference them clearly. Examiners will not ‘hunt’ for substantiating workings. Number all questions CLEARLY and indicate ‘End’ when you have completed all questions in the exam. Use mark allocation as a guide as to how much information is required when formulating your responses. Always remember to round your answer to the number of decimal places specified in the question. Ensure when answering ratio analysis questions that you give your answer in the correct format be it a percentage, days or times. You must clearly indicate negative numbers/values being subtracted where necessary. It is best to put the values in brackets when doing this.
© IMM Graduate School of Marketing October 2013 examination session
FA
Page 3 of 4
Attached to this tutorial letter is a copy of the formula sheet that you will be provided with in your exam. You are reminded that a formula sheet is just a tool to aid in the calculation process and is certainly not an exhaustive list of all that will be tested. It also does not give guidance on the interpretation and understanding of results which are skills you must master in your studying process.
May we remind you that we are always available to assist with academic queries. Academic queries should be submitted in writing to: [email protected] We wish you a successful October 2013 examination session. Kind regards The IMM GSM Team
© IMM Graduate School of Marketing October 2013 examination session
FA
Page 4 of 4
APPENDIX A FORMULA SHEET
Current ratio = Acid test ratio = Inventory turnover = Average collection period = Average payment period = Debt to Equity = Debt ratio= Interest cover ratio = EPS= PE= ROE=
© IMM Graduate School of Marketing October 2013 examination session
FA
Financial Accounting (FA) Tutorial Letter: October 2013 examination session Dear Student Please make note of the following changes and key areas pertaining to the Financial Accounting October Examination. You are reminded that the detail provided herein is merely a guideline for clarity and direction and you are encouraged to complete the entirety of the module content as outlined in the Learner Guide. Exam Structure The paper consists of five questions resulting in an exam total of 100 marks. All questions must be attempted. Question 1 consists of a multiple choice question worth 20 marks. Question 2 consists of various short questions worth 15 marks Question 3 consists of a long calculation type question worth 15 marks. Question 4 consists of a long question involving financial statements worth 25 marks. Question 5 involves analysis of financial information worth 25 marks. Exam Content Question 1 is mostly theoretical, being based on the theory components of all study units. In the past many students have neglected the basic theory, principles and concepts identified in study unit 1. There are also basic calculations presented within these questions and you are reminded to take note of the use of a calculator in arriving at percentages, adding up elements etc.
© IMM Graduate School of Marketing October 2013 examination session
FA
Page 2 of 4
Calculation focus: calculations involved in formulating a cash budget, amounts calculated as accrual adjustments for the income statement, depreciation (methods, accumulated depreciation and carrying value), financial ratio’s, balancing for amounts using the accounting equation (A = OE + L), calculation of amounts used in the formulation of the income statement/ extracts and components of the financials etc. The following topics (amongst others) should be mastered in order to be able to attempt the concepts being examined: Preparing a cash budget, formats and disclosure of the income statement and balance sheet (accounting statements), non-current assets (depreciation), calculation and interpretation of financial ratios (financial statement analysis), accrual adjustments, understanding the elements (assets, owners’ equity and liabilities) etc. General Time management per question must be monitored carefully. You are reminded to show ALL your workings and reference them clearly. Examiners will not ‘hunt’ for substantiating workings. Number all questions CLEARLY and indicate ‘End’ when you have completed all questions in the exam. Use mark allocation as a guide as to how much information is required when formulating your responses. Always remember to round your answer to the number of decimal places specified in the question. Ensure when answering ratio analysis questions that you give your answer in the correct format be it a percentage, days or times. You must clearly indicate negative numbers/values being subtracted where necessary. It is best to put the values in brackets when doing this.
© IMM Graduate School of Marketing October 2013 examination session
FA
Page 3 of 4
Attached to this tutorial letter is a copy of the formula sheet that you will be provided with in your exam. You are reminded that a formula sheet is just a tool to aid in the calculation process and is certainly not an exhaustive list of all that will be tested. It also does not give guidance on the interpretation and understanding of results which are skills you must master in your studying process.
May we remind you that we are always available to assist with academic queries. Academic queries should be submitted in writing to: [email protected] We wish you a successful October 2013 examination session. Kind regards The IMM GSM Team
© IMM Graduate School of Marketing October 2013 examination session
FA
Page 4 of 4
APPENDIX A FORMULA SHEET
Current ratio = Acid test ratio = Inventory turnover = Average collection period = Average payment period = Debt to Equity = Debt ratio= Interest cover ratio = EPS= PE= ROE=
© IMM Graduate School of Marketing October 2013 examination session
FA
